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- German business sentiment index rose more than expected in September - ZEW
German business sentiment index rose more than expected in September - ZEW
According to the report from ZEW, the Indicator of Economic Sentiment for Germany increased again in the current September 2020 survey, climbing 5.9 points to a new reading of 77.4 points compared to the previous month. Economists had expected a decrease to 69.8. The assessment of the economic situation in Germany also improved, and currently stands at minus 66.2 points, 15.1 points higher than in August. With the increase of both the ZEW Indicator of Economic Sentiment and the assessment of the economic situation, the overall outlook has improved significantly compared to the previous month.
“The ZEW Indicator of Economic Sentiment has increased again, signalling that the experts continue to expect a noticeable recovery of the German economy. Stalled Brexit talks and rising COVID-19 cases could not dampen the positive mood. However, the still negative outlook for the banking sector reveals fears of a rising number of loan defaults in the coming six months,” comments ZEW President Professor Achim Wambach.
The financial market experts’ sentiment concerning the economic development of the eurozone increased by 9.9 points, bringing the indicator to a current level of 73.9 points for September. The indicator for the current economic situation in the eurozone climbed 8.9 points to a level of minus 80.9 points. The outlook for the eurozone has thus also improved noticeably, albeit to a lesser extent than for Germany.
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